Who foots the bill for Trump's tariffs? American consumers and businesses are the first to take the hit.

Who is paying the bill for President Donald Trump's tariffs? So far, it is American businesses and consumers. General Motors is the latest U.S. company to disclose how tariffs are driving up costs. The company said on Tuesday that tariffs have reduced its profits by over $1 billion because it chose to absorb the costs itself. This also explains why, in last week's inflation data, car prices did not rise while prices for other commonly imported goods such as toys and appliances did increase significantly, indicating that the cost of tariffs is being passed on to consumers.